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THE TELANGANA GAZETTE
PART IV-B EXTRAORDINARY
PUBLISHED BY AUTHORITY
TELANGANA ACTS ORDINANCES AND
REGULATIONS Etc.
The following Act of the Telangana Legislature
received the assent of the Governor on the 3rd December,
2014 and the said assent is hereby first published on the
4th December, 2014 in the Telangana Gazette for general
information :-
ACT No. 3 OF 2014.
AN ACT TO PROVIDE SPEEDY PROCESSING FOR
ISSUE OF VARIOUS LICENSES, CLEARANCES
AND CERTIFICATES REQUIRED FOR SETTING UP
OF INDUSTRIAL UNDERTAKINGS FOR THE
PROMOTION OF INDUSTRIAL DEVELOPMENT
AND ALSO TO PROVIDE FOR AN INVESTOR
FRIENDLY ENVIRONMENT IN THE STATE OF
TELANGANA AND FOR MATTERS CONNECTED
THEREWITH OR INCIDENTAL THERETO.
Whereas, it is expedient to provide for speedy
implementation of industrial and other projects in the State,
A. 221 ue2 TELANGANA GAZETTE EXTRAORDINARY. [Part 1V-B
Shorttitle,
Extentand
‘commence-
ment,
Defini-
tions.
by providing single point clearances to promoters and to
ensure early commercial production of such projects;
BE it enacted by the Legislature of the State of
Telangana in the Sixty-fifth Year of the Republic of India
as follows:-
CHAPTER -1
PRELIMINARY
1. (1) This Act may be called the "TELANGANA STATE
INDUSTRIAL PROJECT APPROVAL AND SELF
CERTIFICATION SYSTEM (TS- iPASS) ACT, 2014”.
(2) It extends to the whole of the State of Telangana,
(3) It shall come into force on such date as the State
Government may, by notification, in the Telangana Stafe
Gazette, appoint.
2. In this Act, unless the context, otherwise requires,
(1) “Clearances” means grant or issue of no-
objection certificate, allotments, consents, approvals,
permissions, registrations, enrollments, licences and the
like, by any competent authority or authorities in connection
with the setting up of an industrial undertaking in the State
of Telangana and shall include all such clearances required
till the industrial undertaking starts commercial production;
(2) “Competent Authority” means any department or
agency of the Government, Authorized Agency, Gram
Panchayat, Municipality or other local body, which are
entrusted with the powers and responsibilities to grant or
issue clearances;
(3) ‘District Committee” means the “District TS-iPASS
Committee” constituted under Section 3;
(4) “Government” means the Government of Telangana;
(5) “Industrial Undertaking” means an undertaking
engaged in manufacturing or processing or both or
providing service or doing any other business or
commercial activity as may be specified by the State
Government;December 4, 2014] TELANGANA GAZETTE EXTRAORDINARY 3
(6) “Check List” means the list of documents to be
furnished by the applicant with Common Application
Form(CAF);
(2)*Pre-Scrutiny’ means examination of applications to
see the completeness of CAF along with Check Slip by all
means , prior to issue of acknowledgement by the Nodal
Agency;
(8) “Nodal Agency” means the agency notified at the
State level or at the District level under Section 5;
(9) “Notification” means a notification published in the
Telangana Gazette and the word ‘notified’ should be
construed accordingly;
(10) ‘Prescribed’ means prescribed by rules made under
this Act;
(11) “Right to Clearances under TS-iPASS” means a
system bestowed for clearances, same as in the lines of
Right to Information Act, which enables imposing of penal
action on officers responsible for delay ;
(12) “State Committee” means the “State TS-iPASS
Committee” constituted under Section 4.
CHAPTER - Il
CONSTITUTION, POWERS AND FUNCTIONS OF
THE DISTRICT COMMITTEES, STATE COMMITTEE
‘AND NODAL AGENCIES
3. (1) The State Government may, by notifications,
constitute a “District. TS-iPASS Committee” for each a
district, which shall consist of the District Collector as the
Chairman, Joint Collector as Vice-Chairman and District
Level/ Regional Level officials of relevant departments as.
members for such term as may be specified in the
notification.
(2) The District Committee shall be the Competent
Authority at the district level and exercise the following
powers and perform the following functions, namely:~
Constitu-
functions
of District
Commi-
tte,TELANGANA GAZETTE EXTRAORDINARY [Part IV-B
(i) to meet at such times and places as the Chairman of
the Committee may decide and shall transact business as
per the procedure as may prescribed;
(i) to receive applications for all clearances for setting
up industrial units with proposed investment up to the
amount notified under Section 17;
(iii) to inform the applicant of the date on which the
application was received by the competent authority,
department wise date by which the approvals should be
accorded and date on which such application may be
deemed to have been approved in the case of deemed
approval;
(iv) to review and monitor the processing of applications
by the competent authorities and to forward the orders of
the competent authorities to the applicant;
(v) to forward cases with remarks and relevant
documents to the State Committee for decision under
Section 15;
(vi) to invite Competent authorities or experts, who are
not members of the Committee, as special invitees for any
meeting of the District Committee as desired by the
Chairman of the Committee;
(vii) the Member of the District Committee shall attend
the meeting convened under clause (i) personally and in
case he is unable to attend the meeting, he may depute a
senior level Officer with a written authorization to take
appropriate decision in the meeting;
(viii) such other powers and functions as may be
prescribed;
(ix) Based on the self-certification provided by the
Applicant, the District Committee will provide a single point
TS-iPASS approval on behalf of all relevant departments
instead of individual departmental approvals;December 4, 2014] TELANGANA GAZETTE EXTRAORDINARY 5
(x) The, District Committee shall give all clearances
referred to it within a period of 30 days.
4. (1) The Government may, by notification, constitute
a State Committee known as the “State TS-iPASS
Committee”, which shall consist of Secretary of Industries
as the Chairman and the Commissioner of Industries as
the Member-Convener with HODs of the relevant
departments as other members for such term as may be
‘specified in the notification.
(2) The State Committee shall be the Competent
Authority at the State Level and exercise the following
powers and perform the following functions, namely:-
(i) to meet at such times and places as the Chairman of
the Committee may decide and shall transact business as
per the procedure as may be prescribed;
(ii) to receive all applications for clearances for setting
up industrial units with proposed investment more than the
amount notified under section 17;
(ili) To organize Pre-Scrutiny of the applications twice in
a week to verify and guide the applicant in submission of
application in full shape prior to acceptance and issue of
acknowledgement by the Nodal Agency;
(iv) to inform the applicant of the date on which the
application was received by the competent authority, and
date on which such application may be deemed to have
been approved in the case of applicability of deemed
approval under section 13(1) ;
(v) to review and monitor the processing of applications
by the Competent authorities and District Committees and
to forward the orders of the competent authority to the
applicant;
(vi) to forward cases with remarks and relevant
documents to the State Government for decision under
section 16;
Consti-
tution,
powers
and
functions
of State
Commi-
tee.6 TELANGANA GAZETTE EXTRAORDINARY. [Part IV-B
Constitu-
tion,
powers and
funetions
of Nodal
Agency.
Powers and
functions
of Nodal
Agency.
(vii) to invite competent authorities or experts, who are
not members of the Committee, as special invitees for any
meeting as desired by the Chairman of the State
Committee;
(vill) the Member of the State Committee shall attend
the meeting convened under clause (i) personally and in
case he is unable to attend the meeting, he may depute a
senior level officer with a written authorization to take
appropriate decision in the meeting;
(ix) such other powers and functions as may be
prescribed from time to time;
(x) Based on the self-certification provided by the
Applicant, the State Committee will provide a single point
TS-iPASS approval on behalf of all relevant departments
instead of individual departmental approvals;
(xi) The State Committee shall give all clearances
referred to it within a period of 30 days.
5. (1) The State Government may, by notification,
appoint a Nodal Agency at the State level, which shall be a
cell, headed by an officer not below the rank of Additional
Director of Industries, and including such supervisory and
secretarial staff as may be required.
(2) The State Government may notify the District
Industries Centre as Nodal Agency at the district level.
6. (1) The Nodal Agency shall provide secretarial
support to the District Committees and the State
Committee, as the case may be.
(2) Under the superintendence, direction ahd control of
the respective committees, the nodal agency shall
acknowledge all applications filed before the Committee
and shall forward the applications to the concerned
competent authority within three working days.
(3) The Nodal Agency shall pursue the clearance of the
applications with the competent authorities.December 4, 2014] TELANGANA GAZETTE EXTRAORDINARY 7
7. (1) The State Government may, by notification, appoint
a TELANGANA STATE-WIDE INVESTMENT
FACILITATION BOARD (T-SWIFT) at the State Level to
be chaired by the Chief Secretary and the Secretary
Industries as the Member-Convener and including such
supervisory and secretarial staff as may be required to deal
with the clearances of mega projects. The Commissioner
of Industries shall be the Nodal Officer for the T-SWIFT
Board.
(2) The T-SWIFT Board, on receipt of self-certification
by the applicant shall arrange in principle approval to the
Mega Projects which shall serve as deemed approval for
all provisional practical purposes for project kick off.
Explanation: The definition of Mega Project will be decided
by the State Government from time to time.
(3) The Provisional approvals shall be given by the
T-SWIFT. Board within 15 days of receipt of self-certified
applications after a preliminary scrutiny.
(4) The T-SWIFT Board will pursue the clearances with
departments through the Nodal Officer. The Nodal Officer
of the T-SWIFT Board will then obtain final approvals from
the respective departments, if so required, before the
commencement of commercial production. The approvals
arranged through T-SWIFT Board shall be final and binding
‘on the departments.
CHAPTER - Ill
MISCELLANEOUS
8. (1) It shall be competent for the Government to
prescribe combined application forms which may consist
of,-
(a) forms under Central enactments without any change;
and
(b) Existing forms or new forms in lieu of the existing
forms under State enactments.
Constitu-
tion,
Powers and
functions
of Apex
Committee.
‘Combined
Appli-
cation
Forms
(CAF).8 TELANGANA GAZETTE EXTRAORDINARY. [Part IV-B
Filling of
Applica-
tion Forms,
Power to
call
additional
informa-
tion,
Self-
Certifi-
cation.
Time
Limits for
processing.
of
applica-
(2) Allepartments or authorities concerned shalll accept
such application forms for processing and issue of required
clearances.
9. (1) All applications for clearances shall be submitted
with the required fees in the prescribed manner to the Nodal
Agency of appropriate committee.
(2) The applications shall be forwarded by the Nodal
‘Agency to the competent authority for processing and
disposal.
410. (1) On receipt of application under sub-section (2)
of section 9, the competent authority shall have power to
obtain further additional information from the applicant as
required by him, while furnishing a copy of the same to the
Nodal Agency. ;
(2) The applicant shall furnish the required information
to the competent authority and also to the Nodal Agency
simultaneously.
(3) The competent authority shall send its orders
sanctioning or rejecting the application, as the case may
be, to the Nodal Agency so that the same can be given to
the applicant.
41. (1) Every entrepreneur shall furnish a ‘Self
Certification’ at the time of submitting application form to
the Nodal Agency, undertaking in such form and manner
as may be prescribed that he shall comply with the
applicable provisions of the relevant Acts and the rules
made there under.
(2) The self-certification furnished by the entrepreneur
shall be accepted by the concerned Departments and
authorities for the purpose of issue and granting clearance.
12. Notwithstanding anything contained in any State
law for the time being in force, -
(1) The Government may lay down the procedure for
processing and disposal of applications.December 4, 2014] ‘TELANGANA GAZETTE EXTRAORDIN,
(2) The District Committee shall give all clearances
referred to it within a period of 30 days.
(3) The State Committee shall give all cleararices referred
io it within a period of 30 days.
(4) The Competent Authority may ask for additional
information at any time before the expiry of the period
stipulated for the disposal of such clearance:
Provided that such request for additional information
should be made only once by the competent authority.
(5) After receipt of the additional information, the
Competent Authority shail pass orders on the application
before the expiry of the stipulated time from the date of
receipt of such additional information.
43. (1) While prescribing time limits under Section 12,
the State Government may notify the clearances in respect
of which failure of the competent authority fo pass final
orders on the application within the stipulated time shall
result in deemed approval.
(2) The applicant may proceed to execute the work or
take other action following the -provisiona! or, deemed
approval given at by the Competent Authority, but not so
as to contravene any of the provisions of the Acts or rules
or bye-laws applicable to such clearances.
44. The appropriate Competent Committee shall inform
to the applicant the date on which the application was
received by the Competent Authority and the date on which
it was deemed to have been approved.
45. Notwithstanding anything contained in any State
law, for the time being in force,-
(a) The District Committee may, either suomotu or on
an application, examine any order passed by any
competent authority, rejecting any clearance or approving
it with modification, and if the District Committee considers
that there are valid grounds for a change in such decision,
it shall forward such case to the State Committee with
remarks and relevant documents for a decision.
A, 221-2
List of
Deemed
Approvals.
Informa-
tion of
Deemed
Approval.
Review of
District
level cases.10. TELANGANA GAZETTE EXTRAORDINARY {Part IV-B
(b) The State Committee shall examine all cases
referred to it by the District Committee and pass
appropriate orders:
Provided that the cases relating to the orders passed
by the Government as competent authority shall be
referred to the State Board for decision.
(c) The decision taken by the State Committee shall be
binding on the District Committee and the respective
Competent Authorities.
sors 16. Notwithstanding anything contained in any State law,
—_ for the time being in force, the State Committee may, either
suomotu or on an application, examine any order passed
by any competent authority, rejecting any clearance or
approving it with modification, and if the State Committee
considers that there are valid grounds for a change in
such decision, it shall forward such case to the
Government with remarks and relevant documents for a
decision.
secur’ 47, The Government may, by notification, specify the
aon investment limit upto which the applications for clearances
ee shall be made to the District Committees and the State
Committee Committees.
State
Committee.
Exemption, 18. The State Government may, by notification, exempt
any clearances from any of the provisions of the Act.
Penalty. 19. Any entrepreneur who fails to comply with the
conditions or undertaking in self-certification given to the
Nodal Agency or other department or authorities shall be
punishable with fine as prescribed by government from
time to time as well as rectification of the defect.
Right t0 20. (1) Provision of “Right to Clearances under
{nacrrs. TS-iPASS" system to the applicant to know the reasons
iPASS. for delay and to cause the imposition of penalties to the
designated officers of the competent authority.
(2) The State Government may, by notification, create
a “Grievance Redressal Mechanism’ to effectively dealDecember 4, 2014] TELANGANA GAZETTE EXTRAORDINARY 11
with the grievances that may be filed by applicants under
the TS-iPASS process.
21, (1) Where an offence under this Act is committed
by a company, the company as well as every person in
charge of and responsible to the company for the conduct
of its business at the time of commission of the offence,
shalt be deemed to be guilty of the offence and shall be
liable to be proceeded against and punished accordingly:
Provided that nothing contained in this sub-section shall
render any such person liable to any punishment if he
proves that the offence was committed without his
knowledge or that he exercised all due diligence to prevent
the commission of such offence.
(2) Notwithstanding anything contained in sub-section
(1), where an offence under this Act has been committed
with the consent or connivance of, or that commission of
the offence is attributable to any neglect on the part of any
Director, Manager, Secretary or other Officer, such Director,
Manager, Secretary’ or other officer shall also be deemed
to be guilty of that offence and shall be liable to be
proceeded against and punished accordingly.
Explanation:- For the purpose of this section:~
a). "Company" means any “Body Corporate” and includes
a firm or other association of individuals; and
b). “Director” in relation to a firm means a partner in the
firm. i
22. Save as otherwise provided in this Act, the
provisions of this Act shall have effect notwithstanding
anything inconsistent therewith contained in any other State
law for the time being in force or any custom or usage or
any instrument having effect by virtue of any such law.
23. If any doubt or difficulty arises in giving effect to the
provisions of this Act, the Government may, by order, make
provisions or give such directions, not inconsistent with
the provisions of this Act, as may appear to it to be
Offences
by
y
‘Companies,
ete,
Actto
override
other
Laws.
Powers to
remove
doubts or
difficulties.42. TELANGANA GAZETTE EXTRAORDINARY {Part IV-B
Powers to
give
directions.
Savings.
Powers to
make rules,
Repeal.
necessary or expedient for the removal of the doubt or-
difficulty.
24, The State Government may, from time to time, issue
to the State Board, State Committee: or the District
Committees such general or special ‘directions of policy
as they may deem necessary or expedient for the purpose
of carrying out the objects of this Act and the said State
Board, State Committee or the District Committees, as the
case may be, shall be bound to follow and act upon such
directions.
25. The provisions of sections 13 to 20 of this Act shall
not apply to any clearances required under Central
enactments.
26. (1) The Government may, by notification make rules
for carrying out all or any of the purposes of this Act.
(2) Every rule made under this Act, shall immediately
after it is made be laid before the Legislature of the State,
if it is in session and ff it is not in session in the session
immediately following for a total period of fourteen days
which may be comprised in one session or in two
successive sessions and if before the expiry of session in
which it is so laid or the session immediately following, the
Legislature agrees in making any modification in the rule
or in the annulment of the rule, the rule shall, from the
date on which the modification or annulment is notified,
have effect only in such modified form or shall stand
annulled, as the case may be, so however, that any such
modification or annulment shall be without prejudice to the
validity of anything previously done under that rule.
27. The Andhra Pradesh Industrial Single Window
Clearance Act, 2002 is hereby repealed in Telangana State.
A. SANTHOSH REDDY,
Secretary to Government,
Legal Affairs, Legisiative Affairs & Justice,
Law Department.
PRINTED AND PUBI
‘AT TELANGANA LEGISLATIVE ASSEMBLY PRESS, HYDERABAD.